SME Times News Bureau | 22 Jun, 2019
Piyush Goyal, Minister of Commerce & Industry and
Railways said that the Department for Promotion of Industry and Internal Trade
has been asked to work out 50 sectors for promotion of exports.
"The DPIIT has been asked to work out 50 sectors
where I will personally sit with industry to work out areas of concern so that
we can create quality products to scale, such that we can do both import
substitution as well as export promotion," said Goyal.
He was interacting at a session organised by the
Confederation of Indian Industry (CII) in New Delhi.
Stating that first term of the government was focused on
meeting the basic needs of the people such as electricity and toilets, he said
that the second term is a chance to work on the aspirations of the future.
The Minister said that Free Trade Agreements (FTAs) have
been a lost opportunity for India as the country has not been able to scale up
and create quality products. He stated that some FTAs may be reviewed and that
industry needs to be able to leverage them.
On interest subsidies, Mr Goyal said that an alternative
being considered is encouraging foreign currency loans. Also, the Government is
evaluating strengthening Export Credit Guarantee Corporation (ECGC) credit
which would add confidence to banks for lending to exporters.
This would help reduce the risk premium on lending and
lower interest rate costs, he said.
Touching on the issue of subsidies, the Minister said
that continuous subsidies are not the solution to trade and business.
He highlighted, "A larger problem is that our
subsidies are not WTO compliant. We must find an industry agnostic way to
address issues such that it is WTO compliant. Reciprocity and serving Indian
interests even as we move towards a level playing field is paramount."
"Global conditions are leading overseas business to
look for alternate destinations and India should be that alternate destination.
The wealth creators, that is industry, should create more opportunities for the
people of India. We must work in the spirit of togetherness to become a $5
trillion dollar economy in the next 5 years," he concluded.
Chandrajit Banerjee, Director General, CII, said,
"There have been phenomenal achievements and reform in the last 5 years. A
need is felt for a clearer trade policy regime so that industry can interact
and integrate better with the international market. We now need to rekindle the
animal spirit and create a new India for tomorrow with jobs for all."